Businesses are hiring at the fastest pace in years, but companies
themselves still aren’t investing as much as they used to, and an
improved labor market has not encouraged Americans to shed their
cautious spending habits.
Call it the double-sided economy. Many industries are experiencing more rapid growth and an array of indicators suggest the U.S. will expand even faster in the second half of 2014. Yet the economy is still being held back by persistent weakness in key areas.
A slate of reports this week on business investment, consumer spending and home sales is unlikely to alter the outlook. The economy is growing faster, but it’s still not firing on all cylinders and too many Americans are still without jobs, a point emphasized by Federal Reserve Chairman Janet Yellen.
In a much-anticipated speech on Friday, Yellen told other central bankers in Jackson Hole, Wyo. that “five years after the end of the recession the labor market has yet to fully recover.
Read more: Double-sided U.S. economy: Sharp in some areas, dull in others - MarketWatch
Call it the double-sided economy. Many industries are experiencing more rapid growth and an array of indicators suggest the U.S. will expand even faster in the second half of 2014. Yet the economy is still being held back by persistent weakness in key areas.
A slate of reports this week on business investment, consumer spending and home sales is unlikely to alter the outlook. The economy is growing faster, but it’s still not firing on all cylinders and too many Americans are still without jobs, a point emphasized by Federal Reserve Chairman Janet Yellen.
In a much-anticipated speech on Friday, Yellen told other central bankers in Jackson Hole, Wyo. that “five years after the end of the recession the labor market has yet to fully recover.
Read more: Double-sided U.S. economy: Sharp in some areas, dull in others - MarketWatch
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